Builders FirstSource (NYSE:BLDR) Trading Down 4.6% – Here’s What Happened

Builders FirstSource, Inc. (NYSE:BLDR) shares dropped 4.6% during mid-day trading on Wednesday . The company traded as low as $73.06 and last traded at $71.6210. Approximately 78,373 shares were traded during mid-day trading, a decline of 97% from the average daily volume of 2,433,148 shares. The stock had previously closed at $75.10.

Analysts Set New Price Targets

BLDR has been the topic of several analyst reports. UBS Group reduced their price target on shares of Builders FirstSource from $122.00 to $88.00 and set a “buy” rating on the stock in a research report on Friday, July 31st. Oppenheimer dropped their target price on Builders FirstSource from $110.00 to $90.00 and set an “outperform” rating for the company in a research report on Friday, July 31st. Truist Financial decreased their price target on shares of Builders FirstSource from $115.00 to $90.00 and set a “buy” rating for the company in a research report on Friday, July 31st. BMO Capital Markets restated a “market perform” rating and issued a $80.00 price target on shares of Builders FirstSource in a research note on Thursday, August 6th. Finally, Robert W. Baird set a $75.00 price objective on Builders FirstSource in a research report on Friday, July 31st. Nine equities research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and three have issued a Sell rating to the company’s stock. Based on data from MarketBeat, Builders FirstSource has an average rating of “Hold” and a consensus price target of $90.35.

Builders FirstSource Stock Performance

The firm has a 50 day moving average of $76.68 and a two-hundred day moving average of $87.03. The company has a debt-to-equity ratio of 1.14, a current ratio of 1.79 and a quick ratio of 1.09. The stock has a market cap of $7.82 billion, a PE ratio of 79.90, a PEG ratio of 2.34 and a beta of 1.44.

Builders FirstSource (NYSE:BLDR) last posted its earnings results on Thursday, July 30th. The company reported $1.17 EPS for the quarter, missing analysts’ consensus estimates of $1.25 by ($0.08). Builders FirstSource had a net margin of 0.71% and a return on equity of 11.73%. The company had revenue of $3.86 billion during the quarter, compared to analysts’ expectations of $3.91 billion. During the same period last year, the business earned $2.38 earnings per share. The company’s quarterly revenue was down 8.8% on a year-over-year basis. Research analysts predict that Builders FirstSource, Inc. will post 3.15 EPS for the current fiscal year.

Builders FirstSource declared that its board has approved a stock repurchase program on Thursday, April 30th that permits the company to buyback $500.00 million in outstanding shares. This buyback authorization permits the company to buy up to 5.4% of its shares through open market purchases. Shares buyback programs are typically an indication that the company’s leadership believes its stock is undervalued.

Institutional Trading of Builders FirstSource

A number of large investors have recently bought and sold shares of BLDR. Westpac Banking Corp acquired a new stake in shares of Builders FirstSource during the second quarter worth about $138,000. Korea Investment CORP acquired a new position in Builders FirstSource during the second quarter worth $3,773,000. Heartland Advisors Inc. purchased a new position in shares of Builders FirstSource in the 2nd quarter valued at about $4,575,000. JB Capital Partners LP purchased a new position in Builders FirstSource in the second quarter valued at about $26,151,872,000. Finally, Allworth Financial LP purchased a new position in Builders FirstSource in the 2nd quarter valued at approximately $42,000. Institutional investors and hedge funds own 95.53% of the company’s stock.

Builders FirstSource Company Profile

Builders FirstSource, Inc is a leading supplier of structural and value-added building products and services to professional contractors, homebuilders and remodelers. The company provides a comprehensive range of materials and prefabricated components that support all phases of residential construction, from site development and framing to finishing and installation.

The company’s core offerings include lumber and lumber sheet goods, windows and doors, millwork, roofing and siding, and engineered wood products such as roof and floor trusses.